Expansion Management

Nissan's Second Production Plant in Thailand Targets Growing Market

July 8, 2014

"The new plant signifies our optimism for Thailand, as a growing automotive market, a center of manufacturing excellence for the region and an export hub for the world," says Nissan.

Adrienne Selko

Nissan announced last week it will open a second production plant in Thailand.

Thailand is part of the company’s growth strategy in Asia. The country now boasts two plants and an R&D facility, and is increasing in importance as the company's Asian hub for exports and manufacturing.

The new plant will be a production hub for the NP300 Navara, Nissan's new generation pickup truck, destined for export to 45 countries around the world.

Nissan has invested 3.7 billion Thai Baht (US$ 114 million) in the 580,000 square meter facility, bringing with it 2,000 new job opportunities. Full production capacity is expected to reach 150,000 units per annum.

"Thailand is the engine of growth for us in the region, so we're excited to be opening this second plant today that will produce our latest pickup", said Fumiaki Matsumoto, Nissan's executive vice president responsible for global manufacturing. "It signifies our optimism for Thailand, as a growing automotive market, a center of manufacturing excellence for the region and an export hub for the world."

More than half of the vehicles produced at this new plant will be exported to global markets.

The localization ratio of vehicles produced is already at 85%, including the engine plant.

Nissan has also invested 162 million Thai Baht in the new plant's zero discharge program, and will recycle all industrial wastewater through the Reverse Osmosis (RO) process. Nissan will continue to provide training to subcontractors and employees to raise the awareness of waste management and resource reduction.

Nissan first produced cars in Thailand back in 1963 when four cars rolled off the production line a day. The new plant will increase Nissan's production capacity in Thailand to 370,000 units.

About the Author

Adrienne Selko | Senior Editor

Focus: Workforce, Talent

Follow Me on Twitter: @ASelkoIW

Bio: Adrienne Selko has written about many topics over the 17 years she has been with the publication and currently focuses on workforce development strategies. Previously Adrienne was in corporate communications at a medical manufacturing company as well as a large regional bank. She is the author of Do I Have to Wear Garlic Around My Neck? which made the Cleveland Plain Dealer's best sellers list. She is also a senior editor at Material Handling & Logistics and EHS Today.

Editorial mission statement: Manufacturing is the enviable position of creating products, processes and policies that solve the world’s problems. When the industry stepped up to manufacture what was necessary to combat the pandemic, it revealed its true nature. My goal is to showcase the sector’s ability to address a broad range of workforce issues including technology, training, diversity & inclusion, with a goal of enticing future generations to join this amazing sector.

Why I find manufacturing interesting: On my first day working for a company that made medical equipment such as MRIs, I toured the plant floor. On every wall was a photo of a person, mostly children. I asked my supervisor why this was the case and he said that the work we do at this company has saved these people’s lives. “We never forget how important our work is and everyone’s contribution to that.” From that moment on I was hooked on manufacturing.

I have talked with many people in this field who have transformed their own career development to assist others. For example, companies are hiring those with disabilities, those previously incarcerated and other talent pools that have been underutilized. I have talked with leaders who have brought out the best in their workforce, as well as employees doing their best work while doing good for the world.